Overdrafts are generally meant to cover short-term financing requirements; the amount borrowed should not exceed the agreed limit (“facility”). The amount of the facility made available is a matter for negotiation with the bank.
Interest is charged on the amount overdrawn – at a rate that is above the Bank Base Rate. The bank may also charge an overdraft facility fee. The amount of an overdraft at any one time will depend on the cash flows of the business, the timing of receipts and payments, seasonal trends in the sales and so on.
Customer only pays interest when overdrawn Overdraft is simply renewed each time the bank comes to review it.
The SME Loans are designated for Privately-owned viable businesses established for at least 2 years of operations with 20 employees or less, Loans maturities are for more than one year and up to five years with a maximum amount of USD 50,000. SME loans should be secured by adequate collateral and will usually have a floating interest rate.
Short-term commercial loans may provide a good source of working capital for your business. The length of these loans is usually no more than three years and is available to finance the current assets trading cycle, such as financing inventories or receivables. Short-term loans will need to be secured by adequate collateral.
Long-term loans are available for investment requirements such as capital expenditures used for equipment and other asset purchases. These loans are generally secured by the assets being acquired and will generally have various loan covenants with a repayment period extended for a period between one to seven years.
We provide you with a full array of import-export services together with the support and expertise of our Trade Finance team.
Our commercial officers are available at any time to assist you on any aspect of your trade finance business needs and help you secure payments for your international trade. We have a wide network of first-class correspondent banks worldwide that ensure proper settlements of your trade finance activities all over the world.
We offer a full range of documentary services including: